European Energy Southern Gas Corridor to Europe GT

Increases in energy demand are driven by economic growth…

The fuel mix is set to change significantly…

Europe – dependence on imports European gas demand European gas suppliers bcma bcma Turkey SE Europe Italy Other Europe Spain Netherlands Germany France UK Southern Corridor LNG Other pipeline Russia Domestic production Source: BP Energy Outlook 2035, January 2015

Central Asia - Proven Gas Reserves Kazakhstan reserves associated gas linked to large oil or condensate developments with high H2S Current exports ~ 21 bcma to Russia Local consumption ~ 18 bcma Kazakhstan 65 Tcf Uzbekistan gas used mainly for domestic and local exports Exports ~ 12 bcma to Russia Local consumption ~ 44 bcma Uzbekistan 60 Tcf 85% of reserves in Eastern Turkmenistan 30-50 bcma exports to Russia (suspended) 30 bcma to China w/ new infrastructure Azerbaijan 47 Tcf West 20 Tcf East 125 Tcf Turkmenistan 10 bcma exports to Iran Source: BP Statistical Review 2012

Gas Reserves for Western Export South West Kazakhstan 29 Tcf Azerbaijan 47 Tcf Western Turkmenistan 20 Tcf

Caspian Oil and Gas Export Routes

Oil and Gas Pipelines in Georgia WREP (Baku-Supsa) 833 km of 21” pipe; 100,000 bpd Export Terminal Total Cost $ 0.6bn WREP = 9 Partners; BP share 35.8% BTC 1768 km of 42”/46”/34” pipe Volumes: > 1,000,000 bpd Total Cost $ 4.5bn BTC = 11 International Partners; BP share 30.1% South Caucasus Pipeline (SCP) 693km of 42” pipe 9 bcma current capacity 2 Sales gas offtakes, Turkey and Georgia Total cost: $ 1.3 bn 7 international Partners, BP share 28.8% SCP Expansion (SCPX) 16 bcma added capacity The total length of the BTC, SCP and WREP pipelines is more than 3000 kilometers which is five times the distance between the Georgia’s far east and west points. Georgia is a country which moves 10% of BP’s and 1% of world oil and gas with approximately 99% efficiency and reliability. The total throughput of the three pipelines is more than 308 million barrels per annum. For BP operations in Georgia Supsa Terminal is a unique facility which provides approximately 1milion barrel storage capacity for the crude oil transported via the Baku-Supsa before loading to oil tankers via off shore loading facilities. 2016 marks BP’s 20 years in Georgia Transporting ~1% of world oil and gas $3 billion invested in operational and development projects

Shah Deniz – Phase II Contracts to sell gas to Turkey and Europe 16bcma upgrade for SCP, with >400km new pipeline and 2 compression stations in Georgia Two new bridge linked platforms provide 16 bcma offshore processing Existing Stage 1 Platform To EU markets New 2000km pipeline across Turkey (TANAP) New terminal at Sangachal with compressors for Shah Deniz and SCP 500 km of subsea pipeline network in up to 550m water depth 26 subsea wells drilled with 2 semi-submersible rigs

The Southern Corridor Shah Deniz Field South Caucasus Pipeline Expansion (SCPX) Trans Anatolian Pipeline (TANAP) Trans Adriatic Pipeline (TAP) Existing Pipelines

The Southern Corridor investors Trans-Adriatic Pipeline (TAP) Trans-Anatolian Pipeline (TANAP) Shah Deniz 2 and SCP Expansion (SCPX) BP SOCAR/SGC TPAO PETRONAS Lukoil NICO 28.8% 16.7% 15.5% 10% 19% SGC/SOCAR BOTAS 58% 12% 30% SGC FLUXYS ENAGAS Snam AXPO 20% 16% 5%

SCPX in Georgia SCPX in Georgia

Pipeline Expansion – Georgia Georgia current total demand for gas ~ 2.5bcma of which -- Current: 0.7bcma supplied from SCP; 1.5 from SOCAR; remainder from Russia (~10%) Future: SCPX will enable up to an additional 0.8bcma gas

Pipeline Construction - Georgia Steel Erection Continue for LEB Track. Pipe Welding Continue at Process Area. Duct Bank Installation Continue at Utilities Area. LEB2. SCPX Project Progress Photos: CSG2 Road Camp Period 04-Oct-2014 – 10-Oct-2014

Facilities Construction – Compressor Station 1 Cladding activities continued at Control Building. Cladding continue at LEB1 Cable Supports installation inside LEB1 Steel Erection continue for Power Generation Building SCPX Project Progress Photos: CSG2 Road Camp Period 04-Oct-2014 – 10-Oct-2014

Facilities Construction - Compressor Station 2 Steel Erection continue for PR-3 Pipe Fit-Up continue at Process Area Pipe Fit-Up at PR 5 Utilities pipe sleepers. SCPX Project Progress Photos: CSG2 Road Camp Period 04-Oct-2014 – 10-Oct-2014

The Southern Gas Corridor to Europe